In Togo, property owners will pay less tax, notably due to the reduction of the withholding tax on rent. This tax, paid by tenants of residential or commercial buildings, used to be 12.5% of the rent but it has been reduced to 8.5%. This corresponds to a 4% reduction in just 12 months. 

The withholding tax used to cause disputes between landlords and their tenants. Often, the former would refuse any levy on rent or a rent increase to cover the fee and as a result, it would befall tenants to pay more. 

Reducing this tax aligns with the Togolese authorities' ambition to reduce the burden on taxpayers.

The withholding tax is paid to the Togolese Revenue Office (OTR) latest by the 15th of every month (after rent is paid). 

Séna Akoda

Quebec will fund an ecological and energetic project in Kloto, 100 km northwest of Lomé. The financing, around CFA250 million, will be provided to Canadian firm Biothermica Technologies, as a subsidy.  

The Montreal-based company will steer the project, which in its first phase consist of setting up a waste collection system. In the second phase, a landfill with biogas collection technologies will follow. In the last phase, a mixed power plant, using biogas and solar energy, will be built. 

Part of the financing provided by Quebec will be used to conduct preliminary studies regarding the site where the landfill facility will be erected. Another part will be used to support Bioénergie Togo’s activities (waste collection) and train local technicians. 

According to Biothermica’s estimates, the project should also help cut CO2 emissions by 260,000 tons, by 2030. 

Klétus Situ (intern)

The first batch of students trained as part of the Presidential Program of Excellence for the National Development Plan (PPEP) received their completion certificate on Jan. 27. The graduation ceremony was held at the presidency and was chaired by PM Victoire Tomegah Dogbé. The minister of higher education and research, Majesté Ihou Wateba, and the secretary-general at the presidency, Sandra Johson, were also present. 

The students, 20 in all (from the universities of Lomé and Kara), were trained by ShARE, an organization specialized in training talented youths. They learned communication and management skills, leadership, as well as the relevance and challenges of the national development plan (PND) - alongside their traditional courses. 

Launched in 2019 and backed by the UNDP, the PPEP selects students from Togolese private and public schools based on excellence criteria, and trains them to contribute to the PND. One of its laureates, Yannick Amedome, described the program as a “wonderful opportunity that enables the youth to put their talent at the service of their country.”

Klétus Situ (intern)

Global Trade Corporation (GTC) is in negotiation to partner with Zalach Holding, Morocco’s top poultry company. 

The news was announced by Maryux Godwin Alley, MD of the Togolese firm. The partnership aims to make GTC a major player in the poultry sector in West Africa. 

More importantly, GTC’s goal is to control Togo’s whole poultry production chain, to secure its supplies, and save on purchases of intermediary products. 

As the Project to support employment and insertion of youth into promising sectors (PAEIJ-SP) comes to an end, a new one, the project to support youth-led agricultural investments (PAIAJ), is in the pipeline. 

According to well-informed sources, the new project, which is yet to be launched officially, has been trusted with the team that coordinated the PAEIJ-SP. This, following a call for projects issued by the African Development Bank (AfDB), its main backer. 

The PAIAJ will benefit “young people who couldn’t benefit from the PAIEJ-SP for various reasons, especially due to failure to meet eligibility criteria.”

While eligibility criteria for the PAIAJ are more flexible than the PAIEJ’s, the two projects are quite similar regarding how new entrepreneurs are selected. “Just like with the PAEIJ-SP, the PAIAJ will proceed to a call for projects to recruit new entrepreneurs across the country.”

The AfDB injected around CFA800 million in the project for two years. It will rely on microfinance institutions to provide loans to agricultural entrepreneurs. 

Séna Akoda

The West African Development Bank’s (BOAD) first sustainable development bond issue on the international market was successful. Last week, the Bank issued a statement announcing the news. 

According to the latter, the operation “recorded a huge success for international investors.” In detail, around 260 asset managers, banks, insurers, and various pension funds from the UK, US, Europe, and the Middle East subscribed to the 12-year bond. Overall, €4.4 billion was mobilized in the process, thus nearly six times the amount the BOAD was seeking (€750 million). Proceeds will serve to reinforce the board's investment capacities in key sectors like agriculture, food security, renewable energies, basic infrastructure, health, education, and social housing. 

The interest rate for the bond is 2.75%, slightly above the average on the European market. This is the lowest rate the BOAD ever had on the international market, quite “sympathetic,” especially given that the regional entity is rated BBB by Fitch and Baa1 by Moody’s since 2015. 

This is the first operation launched by the BOAD under the supervision of its new president Serge Ekue, who was appointed last August. Lauding the bond’s performance, Ekue declared: “We are encouraged by the amazing response we received from investors. The very high quality of the order book and the significant level of oversubscription attest investors' support for the Bank's vision and their confidence in the growth and prosperity prospects of the WAEMU zone.”

It is worth noting that the bond falls under the Djoliba strategic plan, going from 2021 to 2025. 

Klétus Situ (intern)

Global Trade Corporation (GTC), headed by Togolese business mogul Ghislain Awaga, is disbursing CFA3 billion to create an agro-food chain in Notsé (96 km from Lomé). This adds to another project launched by the mogul to build 1,000 housing units in the country, 

The project, launched last week, involves creating a chain of production, transformation, and distribution of agricultural and husbandry products. It mainly aims to boost Togo’s animal and crop production.

Per year, GTC expects the agricultural chain to produce 120,000 broilers, 80,000 layers, 40,000 pigs, and 20,000 cattle. Regarding crops, per year, 2,500 t of soy, 6,000 of ginger, and 500 t of cashew should be produced on the various sites dedicated to the project. The total area of these lands is 1,000 ha.

KeyOps Tech, a startup specializing in digital tracking of transport and parcel delivery, will launch its services in Togo in February. The move aligns with the firm’s ambition to expand across the region. 

The Abidjan-based startup said it delivered and tracked around 500,000 parcels with its KOTscan solution, since the beginning of this year. 

KeyOps works in partnership with local players offering delivery and transport services. Its tracking system tracks the position and identity of a given deliveryman in real-time In Mali, thanks to a partnership with the Post Office, the startup was able to increase its deliveries from 500 to 30,000. 

Also present in Côte d'Ivoire, Senegal, Burkina Faso, and since the end of 2020 in Ghana, KeyOps wants to be a key player in intra-African trade. “Our goal now is to maximize the benefits of the free trade zone and drive change in the delivery sector across the continent. More than ever, we want to connect African cities and support the development of intra-African trade,” said KeyOps CEO Olivier Mercuriot.

In addition to Togo where the delivery market is booming with players such as the Société des Postes du Togo, Kaba Delivery start-ups, and Delivroum (a subsidiary of Gozem), KeyOps Tech also plans to set up operations in Benin and Cameroon.

This year, the transhumance campaign in Togo will start on January 31, and run till May 31, 2021.

This was disclosed by the ministry of livestock, in a press release. The ministry urged the various actors operating in the sector (“presidents of the prefectural transhumance committees, prefectural transhumance officials, farmers, NGOs and all partners”) to do what is necessary for the campaign to be as smooth as possible. 

To prevent frictions between nomadic pastoralists and sedentary farmers, the country is working to establish transhumance corridors so that the related movements (across all West African countries) of livestock - about 30,000 cattle heads last year -  is smooth.

To this end, movements are governed by a set of rules of conduct contained in the Operational Plan for Transhumance Management (POGT 2021). 

As a reminder, husbandry represents more than 16% of Togo’s agricultural GDP and 6.7% of its national GDP.